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ntroversy Slaraa Again WLLL TA Be the Asvoviated Presse . same (Pranktuctar's views op_DUlliy rate developed over pp aneere - fustlogs that in this P ease) othe bankrupicy shguld determine the fees hdpiently expreased opposition, . ’ az co! op fo the nds which Rane Supreme Court fer jt find: z case involved the reorgani- af the Reynolds Investing Ing... in the Federal District Cc of New Jergey. Three attor- acting for the debtor,-and later ff trustees for the company, fled suit in the New York courts to col- 1 certain claims. Before judg- were returned, the attorneys’ were distontinued. There- under New York State judi- law and in conformity with pour a oc fh te courts to obtain fees for oe and were swarded eH Fra . Coffey . Glavin tr. Ladd . Niehbo . Mr. Rosen Tales Exception ‘the reorganization ihe | #8 prior proceeding in either Wadaral mw RMéate anitet ween ee Se re, ptcy court is the one which ore allow the ‘reasoh- P goats expenses’ incurred the. prior proceeding,” the it. Fratttfurter asserted that “the beginning Congress had | | aHowed Federally created rights to be enforced in State courts “not _ only by the general implications of our legal system but also by ex- plicit authorigation. " He decisted that the Constiiu- ton does not give the Bankruptcy Act supremacy over the right of States to'determine wh-t shal! be litigated in their courts, and under what conditions, “And certainly,” he added, “such a wholly novel doctrine of constitu- , tonal Iaw should not be reso ces when. the case f us can be dispcsed of on: ti 1 conducted in the New York rts was conducted under an ar- iFangement congonant with New | York law...” t] cqpclugive ground that the li ; ——4. 1044 WASHINGTON POST Paca Page a7 Traey . Acers . Carson Harbo - Hendon . Mumford . Starke - Quinn Tamm_ . Noase Migs Gandy